Royal Caribbean Group owns more land around the world than it lets on. That's the hint dropped by chairman and CEO Jason Liberty during the company's third quarter earnings call, when a Wall Street analyst asked whether the cruise giant saw potential for all-inclusive resorts beyond the Caribbean. His answer was yes — and then some. "We also sit on a lot of land around the world, which we don't talk a lot about," Liberty said, without revealing where any of it is or how much there is.
The remark landed in the middle of a bigger story: Royal Caribbean's roughly $3 billion deal to buy a 50 percent stake in Sandals and Beaches Resorts, the all-inclusive Caribbean specialists. Liberty said the company has tested both brands and believes they have global appeal, although the near-term push will focus on growing their Caribbean footprint. The deal itself brings more than 1,000 acres of undeveloped land into the picture — much of it beachfront, sitting next to existing resorts, with several greenfield sites among them.
The land bank comment also fits a pattern. Royal Caribbean has been aggressively building out destinations it controls, with Liberty noting that more than 100 destination projects are underway in some form. The most immediate: Royal Caribbean International president Michael Bayley confirmed the brand would break ground within two weeks on its Royal Beach Club at Lelepa, in Vanuatu — a private beach destination in the South Pacific serving cruise guests.
What's unclear is the purpose of the other holdings. The company didn't say whether the mystery parcels are earmarked for cruise ports, all-inclusive resorts, or something else entirely. But with a 50 percent foothold in Sandals — a brand synonymous with land-based all-inclusive holidays — the idea that Royal Caribbean wants a bigger footprint beyond the ship deck no longer seems speculative.
For holidaymakers, the takeaway is that the line between cruising and resort stays is blurring fast. Royal Caribbean already runs Perfect Day at CocoCay in the Bahamas and is rolling out Royal Beach Club properties; adding Sandals to the portfolio means loyalty-programme perks, package deals and combined cruise-plus-resort itineraries become far more plausible in the next few years. Travellers who like the predictability of an all-inclusive but want to mix in a sailing should watch this space — and anyone eyeing a Caribbean beach holiday may find Royal Caribbean owning the sand beneath their towel before long.
For now, though, the map of Royal Caribbean's global land bank stays under wraps. Given the pace of its destination building — from Vanuatu to the Caribbean — it's a fair bet the company will reveal more when there's something concrete to sell.
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